The Art and Science in Brand Positioning
In this podcast episode, Katya Allison interviews Kathy Guzman Galloway, a brand positioning expert in the CPG industry. Kathy shares insights from her career journey, starting at PepsiCo and now running her own consultancy, The Clarity Wizard.
What You'll Learn:
Brand positioning is a strategic conversation that should precede branding. It answers who a brand is serving, what it is serving, and why the audience should care.
Both qualitative and quantitative research are important for understanding the audience and making informed business decisions.
The recent trend in the market is towards more specific language and solutions, resulting in products that consumers can truly love.
The startup wave has forced organizations to serve their audiences smarter, leading to better communication and market solutions.
It's crucial for brands to revisit their brand fundamentals before starting any new initiative. This helps maintain consistency and aligns the team towards the brand's mission and values.
Episode Summary
In this episode, Kathy emphasizes the importance of brand positioning as a strategic foundation for businesses, distinguishing it from branding. Kathy introduces her framework of brand fundamentals, which includes purpose, mission, positioning, values, and identity. She stresses the significance of understanding consumers through research, offering practical, cost-effective methods for startups and established brands alike. The conversation covers emerging trends in consumer experiences, the challenges of diversity in branding, and the simplification of marketing choices. Kathy concludes with advice on the essence of marketing: building relationships with consumers by understanding and meeting their needs. Throughout, she advocates for clear, strategic thinking in brand development and marketing
Key Points Covered
Building a Strong Brand Positioning
Kathy Guzman Galloway emphasizes the importance of a strategic brand positioning over mere branding.
Brand positioning answers the critical questions of who, what, and why for the consumer.
A strong brand foundation helps in minimizing risks and maximizing revenue.
The Framework for Brand Fundamentals
Kathy introduces a five-part framework: Brand Purpose, Mission, Positioning, Values, and Identity.
Brand Purpose defines the why, while the Mission specifies the measurable what.
This framework ensures that all business strategies are aligned with the core brand identity.
The Role of Research in Marketing
Research doesn't have to be expensive; simple, cost-effective methods can provide valuable insights.
Engaging with customers directly through surveys and feedback can reveal significant information.
Both qualitative and quantitative research are essential for understanding consumer behavior and preferences.
Adapting to Market Trends and Diversity
Brands must continually evolve to reflect diverse and inclusive values authentically.
The pandemic has led to a reduction in consumer choices, pushing brands to be more specific in their offerings.
Understanding the why behind consumer preferences can lead to more effective marketing strategies.
Key Takeaways and Insights
Takeaway 1: Brand positioning in purpose, mission, values AND impact
Brand positioning serves as the strategic bedrock for any successful marketing effort, transcending superficial aesthetics to define a brand's essence. It articulates who the brand serves, what unique value it offers, and why consumers should choose it over competitors. This clarity not only guides messaging but also motivates consumers to adopt new behaviors in favor of the brand. Positioned correctly, a brand can anticipate and meet consumer needs, proactively, driving innovation and market leadership. Brand positioning precedes branding efforts, setting the tone for visual identity and messaging consistency. It should permeate all aspects of business strategy, influencing product development, customer interactions, and corporate initiatives to make sure alignment with core values. Even with modest research resources, understanding the audience is vital, providing actionable insights that inform strategic decisions. Ultimately, effective brand positioning fosters clear communication, authentic connection, and market solutions that resonate deeply with consumers, driving sustained business success and growth.
Kathy explained that brand positioning involves defining who a company serves, what it serves, and why its customers should care about its products or services. This forms the foundation for any strong business. "When I talk brand positioning…what we should be talking about is really a strategic conversation. It has nothing to do with look and feel or tone or voice…brand positioning, what it does is tell us who I am serving, what am I serving, and why should they care."
She emphasized the importance of aligning a company's actions with its brand positioning. "If the task at hand is as an organization, we take a gigantic company like let's pick on PepsiCo. And they're like, hey, we're just not doing enough for multicultural consumers…that's a matter of a value. The solution is the same, but it has a different point of view.”
Takeaway 2: Research for strategic brand positioning
Using both qualitative and quantitative research methods is crucial. Qualitative methods, like in-depth interviews and small focus groups, give us deep insights into why consumers make certain choices. Quantitative research provides statistical validation and shows us broader consumer trends, which are vital for making smarter decisions.
Kathy's suggestion to use DIY online platforms and affordable research methods really connects with me. It's about getting valuable insights without overspending on research. Her point about asking clear questions to understand what consumers truly need is spot on. It helps us avoid assumptions and make decisions based on real insights. Integrating strong research into our brand strategy not only improves our marketing but also builds trust with consumers. It's all about understanding our audience better and making sure our strategies meet their needs.
She gave practical advice on how to conduct inexpensive research: "Find five people who have bought your brand in the last three months... Find five more people that have been buying your brand for whatever extended period of time... then find five people who bought once and never came back." Kathy also noted that numerous online DIY platforms have emerged that allow for quick, simple research.
Takeaway 3: Adapt to market dynamics to stay relevant
There's a critical need for brands to update their brand positioning regularly to align with changing market dynamics. It's essential for brands to remain attuned to shifts in consumer behavior and market trends. This involves revisiting the fundamental principles of a brand before embarking on new initiatives, whether it involves launching a product, executing a campaign, or reorganizing internal strategies.
Integrating brand positioning across all facets of our business strategy is pivotal. By consistently assessing how well our brand resonates with our audience, we make sure that our efforts maintain relevance and efficacy. This proactive approach not only mitigates the risk of disconnect but also upholds a coherent brand identity that garners customer trust.
Kathy suggested that brands should review their positioning regularly to ensure they continue to meet the needs of their target audience. “We should not be starting a conversation on innovation, on a new marketing campaign, even on reorganizing our departments without first coming back to, let's revisit our brand fundamentals and make sure that we understand what it is we're ultimately trying to do here."
She also mentioned the increasing trend of more specific language and tailored solutions in marketing, as a result of consumers having more choices. “The startup wave has forced organizations to be smarter about how they serve their audiences...They're starting to kind of come around to offerings that are just better period. They're just better and that's exactly why because it's someone like you," Kathy concluded.
Key Quotes
"When we talk brand positioning, what we should be talking about is really a strategic conversation. It has nothing to do with look and feel or tone or voice, and that's a lot of what branding is. Branding comes out of brand positioning, and it should come out of brand positioning."
"The hardest part about research is not actually the methodology or the tactic that you use, but designing it in a way that gives you not confirmation of what you think you know, but really clarity on a topic that you have a hypothesis on but you may be right or wrong about."
"The startup wave has forced organizations to be smarter about how they serve their audiences."
"The reason you know that is because you've recently, recently the last five years, have been trained that there are 8,000 sunscreens. Like, if it's not at the store, just go right onto your phone. In like three seconds, you will have an array of sunscreen options, right?"
"It's actually not that complicated. It feels really complicated because it's a lot of work. But that doesn't make it complicated. It is so much like having a relationship with anyone in your life. How can I help you? How can I be there for you?"
